Medicare for Higher Income

2024 Medicare Costs + Coverage Updates

The Centers for Medicare & Medicaid Services (CMS) have released the Medicare costs and coverage information for 2024.

PART A - COSTS


PART A (Hospital) Premium

Most people don't pay a monthly premium for Part A.  If you do buy Part A, you'll pay up to $505 each month if you paid medicare taxes for less than 30 quarters. If you paid Medicare taxes for 30-39 quarters, the standard Part A premium is $278.

PART A Deductible + Coinsurance

  • $1,632 deductible for each benefit period
  • Days 1-60: $0 coinsurance for each benefit period
  • Days 61-90: $408 coinsurance per day for each benefit period
  • Days 91 and beyond: $816 coinsurance per each "lifetime reserve day" after day 90 for each benefit period (up to 60 days over your lifetime)
  • Beyond lifetime reserve days: all costs

PART B - COSTS


PART B (Medical) Premium

Those enrolled in Part B will pay at least the standard $174.70/mo premium (based on income).  Higher income earners will pay a Part B IRMAA (Income Related Monthly Adjustment Amount) in addition to the $174.70/mo standard premium.

PART B Deductible + Coinsurance

  • $240 deductible per year
  • After your deductible is met, you typically pay 20% of the Medicare-approved amount for most doctor services, outpatient therapy, and durable medical equipment (DME)


Part B Income-Related Adjustments

If your MAGI (Modified Adjusted Gross Income*) in 2022 was…

File Individual Tax Return

File Joint Tax Return

File Married + Separate Tax Return

What You Pay to Medicare (per person) Each Month in 2024 (Part B premium + IRMAA)

$103,000 or less

$206,000 or less

$103,000 or less

$174.70

$103,001 to $129,000


$206,001 to $258,000

Not applicable

$244.60

(174.70 + 69.90)

$129,001 to $161,000


$258,001 to $322,000

Not applicable

$349.40

(174.70 + 174.70)

$161,001 to $193,000


$322,001 to $386,000


Not applicable

$454.20

(174.70 + 279.50)

$193,001 to $499,999


$386,001 to $749,999

$103,001 to $396,999

$559.00

(174.70+ 384.30)

$500,000 +


$750,000 +

$397,000 +

$594.00

(174.70 + 419.30)


PART D - COSTS

Higher income earners who are enrolled in Part D Prescription Drug coverage also pay a Part D IRMAA in addition to the monthly insurance premium for a Part D prescription drug plan or Medicare Advantage plan that includes Part D coverage (see table below).

Part D Income Related Adjustments

If your MAGI (Modified Adjusted Gross Income*) in 2022 was…

File Individual Tax Return

File Joint Tax Return

File Married + Separate Tax Return

What You Pay To Medicare (per person) Each Month in 2024

$103,000 or less
$206,000 or less$103,000 or lessyour plan premium
$103,001 to $129,000$206,001 to $258,000Not applicable$12.90 + your plan premium
$129,001 to $161,000$258,001 to $322,000Not applicable$33.30 + your plan premium
$161,001 to $193,000$322,001 to $386,000Not applicable$53.80 + your plan premium
$193,001 to $499,999$386,001 to $749,999$103,001 to  $396,999$74.20 + your plan premium
$500,000 +$750,000 +$397,000 +$81.00 + your plan premium
Money Saving Tip:

Money Saving Tip:

If a retiree's current income is lower than the most-recent tax return, they may be eligible to appeal a Medicare premium surcharge — but only if the income drop is the due to specific life-changing events such as death of a spouse, divorce, marriage or retirement. If that is the case, clients should immediately respond to the premium surcharge notice, known as an income-related monthly adjustment amount (IRMAA) letter they receive in the fall, and follow the instructions on how to appeal the surcharge.